How does a 13-week cash flow forecast work for contractors?
A 13-week cash flow forecast projects your cash week by week over the next quarter. It predicts when each open invoice will actually be paid, lays in payroll and bills coming due, and flags any week where projected cash falls below your next payroll, giving you weeks of warning instead of a nasty surprise.
Why 13 weeks
A quarter is long enough to see the payment and payroll cycles that decide solvency, and short enough to forecast with reasonable accuracy. It is the standard horizon finance teams use to manage near-term liquidity.
Predictions beat wishful due dates
A useful forecast does not assume customers pay on the due date. It predicts when they will actually pay based on history, so the projection reflects reality. Deterministic and explainable beats a black box here, because you need to trust the number enough to act on it.